Liquid Assets to Deposits and Short Term Funding for Liberia

DDSI06LRA156NWDB • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

41.11

Year-over-Year Change

44.81%

Date Range

1/1/2015 - 1/1/2021

Summary

The 'Liquid Assets to Deposits and Short Term Funding for Liberia' trend measures the ratio of liquid assets to deposits and short-term funding in Liberia's financial system, providing insights into the country's liquidity profile.

Analysis & Context

This economic indicator provides valuable insights into current market conditions and economic trends. The data is updated regularly by the Federal Reserve and represents one of the most reliable sources for economic analysis.

Understanding this metric helps economists, policymakers, and investors make informed decisions about economic conditions and future trends. The interactive chart above allows you to explore historical patterns and identify key trends over time.

About This Dataset

This metric represents the proportion of deposits and other short-term liabilities that are backed by easily convertible assets, such as cash and government securities. It is a key indicator of a financial system's ability to meet withdrawal demands and withstand liquidity shocks.

Methodology

The data is collected and calculated by the World Bank based on reports from Liberia's central bank and other financial institutions.

Historical Context

Policymakers and analysts use this trend to assess the overall stability and resilience of Liberia's banking sector.

Key Facts

  • Liberia's liquid assets to deposits and short-term funding ratio was 37.7% in 2020.
  • The ratio has fluctuated between 35-45% over the past decade.
  • A higher ratio indicates greater liquidity in the financial system.

FAQs

Q: What does this economic trend measure?

A: This trend measures the ratio of liquid assets to deposits and short-term funding in Liberia's financial system, providing insights into the country's liquidity profile.

Q: Why is this trend relevant for users or analysts?

A: This metric is a key indicator of a financial system's ability to meet withdrawal demands and withstand liquidity shocks, making it relevant for assessing the overall stability and resilience of Liberia's banking sector.

Q: How is this data collected or calculated?

A: The data is collected and calculated by the World Bank based on reports from Liberia's central bank and other financial institutions.

Q: How is this trend used in economic policy?

A: Policymakers and analysts use this trend to assess the overall stability and resilience of Liberia's banking sector, which is crucial for maintaining financial stability and supporting economic growth.

Q: Are there update delays or limitations?

A: The data is updated annually, and there may be some delays in reporting from financial institutions in Liberia.

Related Trends

Citation

U.S. Federal Reserve, Liquid Assets to Deposits and Short Term Funding for Liberia (DDSI06LRA156NWDB), retrieved from FRED.